UBS executive says clients questioning usefulness of trading floors - Business Insider

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A UBS exec lays out the benefits and pain points of all-electronic trading after coronavirus concerns cleared the floor at NYSE

The New York Stock Exchange temporarily moved to all-electronic trading for the first time this week.Vlad Khandros, the global head of market structure and liquidity strategy at UBS, said some of the Swiss bank's clients were questioning whether exchanges' physical trading floors should reopen.

Vlad Khandros, the global head of market structure and liquidity strategy at UBS, said "a number of clients" have asked if trading floors will ever reopen, with many hoping they remain closed because they view it as an additional source of friction for trading. While it's still early days, Khandros said his team was looking at datasets to understand how the no-floor model has changed trading, whether it's for better or worse.

"There's certainly pockets and some tickers that folks feel could have been improved and further handled now that there are no D-orders into the close, and we're still digging into it, but we are always working to improve our clients' execution quality."

 

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